Active ETF Trend Provides Growth Opportunity
for Asset Managers
OAKS,
Pa., March 7, 2024 /PRNewswire/ --
SEI® (NASDAQ: SEIC) today announced that
Cullen Capital Management LLC (Cullen Capital) selected the
Advisors' Inner Circle Fund® as its operational platform
for the Cullen Enhanced Equity Income ETF (NYSE: DIVP), its first
active ETF. Cullen Capital's first active ETF aims to offer a
higher income potential compared to traditional equity-income
investments.
Assets in active ETFs have grown significantly from $350.4 billion in 2022 to $532.9 billion in 2023, representing a 34%
increase1 and driving the entry of asset managers
like Cullen Capital into the active ETF market. DIVP integrates
dividends from equity holdings with premiums from covered call
options on a portion of the portfolio, enabling the potential for
upside market participation in addition to income generation.
Jeff Cullen, Managing Director
of Cullen Capital Management, said:
"We've selected SEI's Advisors' Inner Circle Fund to launch our
first active ETF because it offers an established, proven
operational platform that efficiently addresses the complexities
associated with ETF product strategy, distribution, and compliance.
SEI's series trust and client service model provides us with the
infrastructure and expertise needed to quickly and successfully
bring our first ETF to market."
Mike Beattie, Managing
Director of SEI's Investment Managers business and President of the
Advisors' Inner Circle Fund, added:
"We are pleased to provide Cullen Capital Management with the
operational infrastructure and advice they need to launch their
active ETF product. With our turnkey operational platform and
dedicated, skilled relationship management team, SEI will provide
ongoing oversight of their ETF fund."
With the significant increase in new active ETFs hitting the
market in 2023, investors piled another $131
billion into their net flows, setting another annual record.
That growth accounted for 22.1% of net flows into all ETF products
in 2023.1
John Alshefski, Senior Vice
President and Managing Director of SEI's Traditional
Investment Managers business, said:
"Asset managers like Cullen Capital Management are expanding
their investment lineup with active ETFs, and we're excited to
support them with the Advisors' Inner Circle Fund Trust—alleviating
the need for them to build their own in-house operational
infrastructure. With the rising popularity of active ETFs as an
investment vehicle, we believe we are well-positioned to seize
growth opportunities by providing an operational platform that can
efficiently and cost-effectively launch and support ETF
products."
SEI helped pioneer the series trust concept more than 30 years
ago by introducing the Advisors' Inner Circle Fund Trust (AIC) with
an institutional-quality turnkey mutual fund operating platform.
The AIC enables investment organizations to rapidly launch and grow
mutual funds, exchange traded funds, and interval and tender offer
funds without having to build their own fund operating
infrastructure. The platform is designed for asset managers seeking
a more cost-effective way to operate their existing funds.
1 Source: FUSE, Morningstar
About SEI®
SEI (NASDAQ:SEIC) delivers
technology and investment solutions that connect the financial
services industry. With capabilities across investment processing,
operations, and asset management, SEI works with corporations,
financial institutions and professionals, and ultra-high-net-worth
families to help drive growth, make confident decisions, and
protect futures. As of Dec. 31, 2023,
SEI manages, advises, or administers approximately $1.4 trillion in assets. For more information,
visit seic.com.
About SEI's Investment Managers business
SEI's
Investment Managers business supplies investment organizations of
all types with the advanced operating infrastructure they must have
to evolve and compete in a landscape of escalating business
challenges. SEI's global operating platform provides investment
managers and asset owners with customized and integrated
capabilities across a wide range of investment vehicles,
strategies, and jurisdictions. SEI's services enable users to gain
scale and efficiency, keep pace with marketplace demands, and run
their businesses more strategically. SEI partners with more than
550 traditional and alternative asset managers, as well as
sovereign wealth funds and family offices, including 48 of the top
100 asset managers worldwide.* For more information, visit
seic.com/ims.
*Based on Pensions & Investments' "Largest Money
Managers" 2022 ranking.
Company
Contact:
|
Media Contact:
|
Leslie
Wojcik
|
Kerry Mullen
|
SEI
|
Vested
|
+1 610-676-4191
|
+1
917-765-8720
|
lwojcik@seic.com
|
kerry@fullyvested.com
|
|
|
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SOURCE SEI Investments Company